Dubai-based investment firm Manrre Logistics Fund has made two strategic investments in Jebel Ali Free Zone (Jafza), DP World’s leading trade and logistics hub, increasing the value of its portfolio by 22.5 percent to $71.3 million.
Launched in 2018 by Dubai-based Palmon Group, Manrre focuses on institutional-grade logistics and industrial properties in locations including Jafza, Dubai Investments Park, and Dubai South, in addition to investments in the cloud, dark kitchen, and alternative spaces in the UAE.
According to the statement, “The first of the investments in Jebel Ali is a facility leased to Infofort, a subsidiary of Iron Mountain which is a company focused on records management, data backup and recovery, document management, and data centers.”
The second is AMS Integrated Solutions, a Danish company operating in nine countries specializing in fleet management, technical training, and logistical needs for mission readiness. Both new additions have fully guaranteed 10-year lease agreements in place, the company said.
“DP World’s vision is to lead the world of trade through integrated global logistics solutions and our flagship free zone, Jafza, makes this possible through its seamless connectivity and data-driven solutions offered to over 8,700 businesses from 130 countries. This exceptional commitment has caught the attention of leading investment companies, such as Manrre Logistics Fund, that believe in the ability of Jafza-based companies to deliver beyond excellence. We have made optimal use of our facilities to support our partners with best-in-class facilities, and these investments, further solidify Jafza’s position as the ideal business hub to plant and grow, capturing limitless opportunities to scale.”
Commenting on the expansion of the fund, Mr. Kunal Lahori, Chief Executive Officer, Manrre, said that, “We are extremely proud of the new additions to our ever-growing investment portfolio. Both of the investments align with our strategy on long-term and stable income generation of logistics assets, with high exposure to the rapidly growing e-commerce market. This allows our investors to benefit from a higher yield and a commitment to capital preservation.”
“Since the inception of the fund, we have had a laser-focused commitment to this specific asset class and COVID-19 was a natural stress test on the portfolio. With the right kind of investments that deliver value to our investors, we were able to distribute a cash-on-cash return of 7.7 percent annually. Having a solid strategy and working with the right partners has allowed us to weather the global macro-economic challenges and now focus on the continued growth of the fund,” Mr. Lahori added.